Paschi Says 2011 Loss Would Swell If Loans Accounted for as CDSs
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Banca Monte dei Paschi di Siena SpA, the Italian lender engulfed by probes into alleged misconduct by former managers, said its 2011 loss will widen by 1 billion euros ($1.3 billion) if two so-called repos are accounted for as credit-default swaps.
The 2011 net loss for group’s main company rises to 5.7 billion euros from 4.7 billion euros under pro-forma accounts that restate deals dubbed Alexandria and Santorini, the bank said in its annual report published today. The 2012 loss falls to 2.9 billion euros from 3.1 billion euros, and net assets to 191.7 billion euros from 197.1 billion euros.